DEBT, DEFICITS, AND LONG‐TERM RATES
Jeffrey A. Zimmerman
(Associate Professor of Finance and Economics, Methodist College, Fayetteville, NC 28311.)
236
Abstract
This paper investigates the relationship between government borrowing and long‐term interest rates utilizing a loanable funds framework to describe the interest rate determination process. Three measures of government borrowing are examined. The results indicate that there is not a significant relationship between government borrowing and long‐term interest rates.
Citation
Zimmerman, J.A. (1997), "DEBT, DEFICITS, AND LONG‐TERM RATES", Studies in Economics and Finance, Vol. 17 No. 2, pp. 63-80. https://doi.org/10.1108/eb028732
Publisher
:MCB UP Ltd
Copyright © 1997, MCB UP Limited